9501.T Stock Today: January 23 TEPCO Halts Reactor After Restart Glitch
TEPCO stock fell after Tokyo Electric Power halted the Kashiwazaki-Kariwa Unit 6 just hours after restart. An alarm during control-rod withdrawal forced a shutdown and investigation. TEPCO stock traded at ¥695.5, down 3.48%, with heavy volume. Investors in Japan worry the delay pushes back nuclear-driven cost savings and keeps pricier thermal generation in the mix. We break down what happened, how the market priced it, key valuation markers, and what to watch into the January 29 earnings update.
What Happened and Why It Matters
Tokyo Electric Power said an alarm and a malfunction during control-rod withdrawal led to stopping Unit 6 at Kashiwazaki-Kariwa. The company will probe the cause before attempting another start. Reports noted additional time is needed for checks, extending the outage window source. TEPCO stock reacted quickly as confidence in the restart timeline softened.
The setback clouds the near-term nuclear restart Japan narrative. Nuclear generation is central to lowering fuel costs and stabilizing margins. With the Kashiwazaki-Kariwa reactor paused, TEPCO may rely longer on thermal power, which is costlier. Local media confirmed the halt and investigation process source. That uncertainty weighed on TEPCO stock today.
Market Reaction and Key Levels
TEPCO stock closed at ¥695.5, down ¥25.1 or 3.48%, after trading between ¥685.1 and ¥725.5. Volume was 108.85 million versus a 91.45 million average, showing strong participation. RSI at 52.3 is neutral while ADX at 25 suggests a firm trend. Price sits between Bollinger bands of ¥593 and ¥723, with CCI at 141 signaling near-term overbought conditions.
At roughly ¥1.11 trillion market cap, Tokyo Electric Power trades at a P/B near 0.37 and P/S near 0.17, with negative EPS and a non-meaningful P/E. Debt-to-equity is 2.16 and current ratio is 0.48, highlighting leverage and liquidity constraints. EV/EBITDA is about 10.65 and interest coverage near 3.08, underscoring the importance of nuclear-driven cost relief for TEPCO stock.
Outlook, Risks, and What We Are Watching
Earnings are scheduled for January 29. Key questions are the restart timeline, incremental fuel costs from extended thermal use, and any guidance changes. Internal forecasts point to ¥680 in the next month and about ¥770 over a year if operations normalize. A quicker restart could support upside, while ongoing delays would cap near-term gains for TEPCO stock.
Signals are mixed. Company rating is Sell with weak ROE and leverage risks, yet the overall stock grade is B with a Hold suggestion. TEPCO stock is up 64% year over year but below the ¥939 high. We would watch the investigation outcome, 50-day average at ¥717, and earnings commentary before adjusting exposure.
Final Thoughts
Today’s halt at Kashiwazaki-Kariwa raised fresh questions about the nuclear restart path and near-term earnings leverage. TEPCO stock reflected those worries with a 3.48% drop on heavy volume. Valuation screens cheap on P/B and P/S, but leverage, liquidity, and negative earnings keep the risk profile elevated. Into January 29, we are focused on the cause and fix timeline, projected fuel cost impacts, and any restart schedule update. Practical takeaway for investors in Japan: monitor the investigation progress, watch the ¥717 50-day average and volume trends, and reassess position size after earnings guidance clarifies the restart plan and cost trajectory.
FAQs
Why did TEPCO stock fall today?
The stock slid 3.5% after Tokyo Electric Power halted the Kashiwazaki-Kariwa Unit 6 restart due to an alarm during control-rod withdrawal. The delay threatens expected fuel-cost savings from nuclear generation and extends reliance on pricier thermal power. That uncertainty pressured sentiment and pushed TEPCO stock lower on strong volume.
How does the Kashiwazaki-Kariwa reactor affect profits?
Nuclear power lowers fuel costs versus thermal generation, which improves margins. A delay at the Kashiwazaki-Kariwa reactor means higher short-term costs and weaker profitability until the unit runs stably. For TEPCO stock, the restart path is a key driver for earnings visibility and potential re-rating over the next few quarters.
Is TEPCO stock cheap or risky right now?
It screens inexpensive on P/B around 0.37 and P/S near 0.17, but carries risks. EPS is negative, debt-to-equity is about 2.16, and the current ratio is 0.48. Until the restart is stable and cash flow improves, TEPCO stock can remain volatile despite low headline valuation multiples.
What should I watch before earnings on January 29?
Focus on the investigation outcome, any new restart timetable, and management commentary on fuel costs if thermal use is extended. Watch price versus the 50-day average around ¥717 and volume trends. These signals will help gauge whether sentiment in TEPCO stock stabilizes or weakens post-results.
Disclaimer:
The content shared by Meyka AI PTY LTD is solely for research and informational purposes. Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.
